WMV conversions in DMC provides you with many profiles. Each profile is designed for different purposes and has corresponding quality.
The highest quality profile regardless of file-size is DVD Quality Video. "DVD Quality Video (1Mbps CBR)" profile creates a 1Mbps CBR video. This means that to play such a video, the player must output 1 Mega bits in a single second. CBR stands for Constant Bit Rate. Similarly a video created using "DVD Quality Video (2Mbps CBR)" profile must output twice as much data in a single second.
To generalize:
1. The higher the bit-rate, the better the quality.
2. The higher the bit-rate, the more is the processing required.